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Nintendo is getting their lunch eaten by Apple/Android in the US for the kids and casual market. That's what happened.

That and Iwata has destroyed NOA, NOA used to be able to have autonomy to make games like GoldenEye and do things like the Star Wars games deal.

You can't ignore every software trend in the West and then act shocked that the West doesn't respond to your software. Not having a multiplayer FPS series to really replace GoldenEye/Perfect Dark (sorry but Metroid doesn't cut it sales wise) was a mistake.